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|VOLVO TRUCKS NORTH AMERICA
A unit of AB Volvo (VOLVY) of Sweden. The company began operating in 1981 when it
bought the former White
Motor Corp. In 1987, Volvo and General Motors Corp. created a joint venture, changing the
company name to Volvo GM Heavy Truck Corp. Vehicles are sold under the Volvo nameplate. In
1997, the company changed its name to Volvo Trucks North America Inc. after
Volvo took over the minority stake held by General Motors.
Volvo Trucks North America has been headquartered in Greensboro, N.C., since 1981. It has a plant in Dublin, Virginia, that makes cabs and fully assembled heavy-duty commercial trucks for sale through 240 dealers in the United States and Canada.
In early 2001, parent Volvo acquired the commercial truck assets of Renault S.A. of France--including Mack Trucks Inc. of the United States. Later in the the year, parent Volvo disclosed that it would permanently end production of Mack-branded over-the-highway Class 8 trucks at Winnsboro, S.C., during 2002 and shift production of the Mack-branded vehicles to the Dublin, Va., site operated by Volvo Trucks North America.
Volvo Trucks North America, which lost more than $100.0 million on an operating basis in 2001 due to high overhead costs and poor manufacturing capacity use at Dublin, likely will witness a dramatic increase in capacity use during 2003 at the Dublin truck assembly site as the plant starts building Mack-branded Class 8 trucks for resale through Mack dealers in the United States and Canada.
Volvo Trucks North America, in an ongoing corporate restructure that is designed to restore profitability to itself, is continuing to shed white collar workers at Greensboro and merge dealer support functions with Mack Trucks to cut costs further.